Thursday, January 29, 2009

What should be the nature of the relationship between the business plan and the IS plan?


Before I start discussing all about the business plan, the information system plan and the connection between the two, let me dissect all the words involved (business plan, IS plan) for us to understand (later on) their relationship.

Let me define first what is planning, according to Mr. Webster, planning is defined as a scheme for achieving an objective: it is a method of doing something that is worked out usually in some detail before it is begun and that may be written down in some form or simply retained in memory. For me, planning is somewhat like preparation on something, setting up or scheduling what has to be done. And planning is what we do everyday, right? Our beloved mothers plan on what food she will be preparing for us. In addition, we, as students, schedule our activities during the day, during the week even in month. Even our school, they have this outline of scheduled activities for the whole semester.

With the definition of the word plan or planning (as what I have stated it above), in my own opinion, a business plan, is a paper that specifies the goals of the company, as well as the plans on how to compete with other companies (or what we call the strategies of the company). Basically, it presents detailed information concerning on where a company is going and how it will get there. The Wikipedia defined business plan as a formal statement of a set of business goals, the reasons why they are believed attainable, and the plan for reaching those goals. It may also contain background information about the organization or team attempting to reach those goals. Also many experts in business considered that a business plan is critical in making or breaking a business. As Sir Randy said we should not plan to fail, so businessmen should have a carefully considered plan, because this plan can serve as an absolute road map to success for the owner and the employees. Business plan can help all of those people who are involved to stay on track while striving to achieve the goals of the company. Moreover, the business plan may be assessed and modified when needed, this would allow those working in the business to keep the strategies that are working for them or maybe improve those strategies and if possible, eliminate those strategies that don't work for them, and change goals as the business go forward.
So let’s go with the information system plan, as we all know information system is the collaboration between the people ware, software and the hardware that produces information or knowledge in an organization and these 3 elements are organized to aid in reaching the goals of the organization and be able to help the company solve their business problems. This would include the company’s manual or automated procedures. Based on my reading, information systems plan is a process for developing a strategy and plans for aligning information systems with the business strategies of an organization (1).

references
(1) http://wiki.answers.com/Q/What_is_information_system_plan

as what I have remembered, last November 24, our instructor told us that an information systems plan usually ranges from one year planning to three year planning horizon, more than that will be awful in a sense that there might be a possibility that the application of the information technology would not fit in to the organization’s needs at that particular time. For me, in the information system planning the IS planning staffs will perform the following actions in preparation to the actual IS planning process:
~ They should review of the strategic business plan for the organization, including the vision, mission, goals, objectives, strategies, and priorities that set business direction.

~ They should evaluate the existing technological setting within the organization, including assessment of the principal hardware requirements and specifications, application software, and connectivity. The acronym SWOT now comes into place. The staffs should do the evaluation of the STRENGTHS, WEAKNESSES, OPPORTUNITIES and THREATS in terms of the technology in the organization. The primary purpose of the SWOT is that it will allow the staff to assess the company in fairly manner because it does not only focus on the strong side but also on the weak side of the company. It will also help the staff forecast the threats and opportunities. This would also help the company on how to react under different situation or in other words, the organization can prepare for the possible consequences that the will be encountering.

~ After the assessment, the staffs should develop an Information Technology Strategy based upon the study of the present situation and the goals of the business to be achieved. This strategy identifies the organization’s short term and long term goals associated to the managing and sharing of the information and information technology in support of the organization’s business strategic plan. The strategy also tackles about the organization’s technology weaknesses and needs or addressing the problem to the higher management (probably for funding.hehe).

If I am asked what is the relationship between the two plans stated above, I can say that information system plan will help the business plan reach they desired goals. It is clearly stated above that information systems plan should be aligned with the business plans. In other words they compliment each other. These two plans are partners for life. These two should work hand in hand with each other for the development and success of the organization.

To end this, planning is the key word, it may somehow relate in our real life scenario.
“if we fail to prepare then we are prepared to fail”. Whatever plans we have in mind right now, let’s bear in mind, plans will always be plans. Let’s put our plans into actions, because plans without actions are useless. With the right plans, right decisions, right actions, the right vehicle, with the support of our beloved family and friends and coupled with the love and blessings from up above, we can achieve what we want to achieve!

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